Selling car - title question
09-13-2006, 06:57 PM
#1
Racer
Thread Starter
Selling car - title question
I'm selling my Mercedes Benz to a private individual, and I was just thinking about the title.
What is the protocol for title transfer between parties? Here's the deal. I have a loan on the car, so I can't get the title in hand until the loan is paid off, and I can't pay off the loan until the buyer pays me.
Obviously this happens thousands of times a day across the country, so there must be some acceptance from buyers that they will be paying for a car and then have to wait for the title to come in the mail to them later.
But how does a buyer know that the seller has clear title, other than the loan on the car?
The loan is through Capital One finance, so I can't go with the buyer to my bank and have a "closing" of sorts. We'd have to wait for the funds to go to the bank and then for the bank to send the title to me, and then for me to send the title to the buyer.
I would appreciate any insight on this that you all may have to offer.
What is the protocol for title transfer between parties? Here's the deal. I have a loan on the car, so I can't get the title in hand until the loan is paid off, and I can't pay off the loan until the buyer pays me.
Obviously this happens thousands of times a day across the country, so there must be some acceptance from buyers that they will be paying for a car and then have to wait for the title to come in the mail to them later.
But how does a buyer know that the seller has clear title, other than the loan on the car?
The loan is through Capital One finance, so I can't go with the buyer to my bank and have a "closing" of sorts. We'd have to wait for the funds to go to the bank and then for the bank to send the title to me, and then for me to send the title to the buyer.
I would appreciate any insight on this that you all may have to offer.
09-13-2006, 10:16 PM
#2
Burning Brakes
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What I did once, was I had a dealer do the transaction for me as I didn't have the car paid off. I paid the dealer a fee ($150 I think). The buyer cut the dealer a check, the dealer gave me my profit over what I owed on the car. The buyer drove off w/ temp plates.
09-14-2006, 02:35 PM
#3
Intermediate
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Did this with the current Porsche, owner had a lean on it. In VA I was told by DMV to get the bill of sale and all documentation other than title. In the bill of sale, state a clear title is due in 15 days. If the seller fails to provide the title, I then have to initiate certified letters to the buy requesting the cleared title. If this then fails, bring the certifications to and bill of sale to DMV and they will start the process of titling. Capital One was the lien holder as well, took about 10 days to get title.
You could also create the bill of sale, have the buyer send in the payoff amount to Capital One and cut you the difference. Either way, still takes about 10 days to get a title out of the lien holder.
You could also create the bill of sale, have the buyer send in the payoff amount to Capital One and cut you the difference. Either way, still takes about 10 days to get a title out of the lien holder.